Timeshare Resales Worldwide

Timeshare Sales Commissions Charged by Licensed Brokers

Timeshare Resales Worldwide® The no up-front fee licensed Broker. America's oldest online timeshare broker!

In the timeshare RESALE industry, Brokerage commissions charged by Licensed Real Estate Brokers average between 20% to 40%. Timeshare resorts and timeshare developers, typically charge 35% to 50% for resale transactions

Also, most licensed timeshare real estate brokers have a mandatory minimum commission amount ranging in the vicinity of $1,500 to $3,000. with the average being about $2,000.

Our commission is based upon the sales price and starts as low as $1,000:

  • The Broker's commission is: 20% for timeshares that sell for over $12,000.
  • The commission is $2,000 for sales prices between $9,000-$11,999.
  • The commission is $1,500 for sales prices between $5,000-$8,999
  • The commission is $1,250 for sales prices between $2000 and $4,999
  • The commission is $1,000 for sales prices of $1,999 or less

    The buyer is expected to pay the closing cost which ranges from $500 to $1,000, plus the buyer is expected to reimburse the seller for the maintenance fee if the buyer uses the week.

    See other advice for sellers, such as How To Price A Timeshare Resale, and other advice.

    Since most of us are entrenched with the idea that the commission charged on RESIDENTIAL real estate is usually 6 per cent, it warrants discussion why timeshare Brokers charge a higher percentage.

    First, realize that 6 per cent on a typical house may be a low percentage, but because the sales price is many times higher than for timeshare, 6% is a HIGH amount of dollars.

    A timeshare sale involves just as much work and expense as selling a house, sometimes even more, but the commission DOLLAR AMOUNT is so low that most traditional realtors consider it a waste of their time to sell timeshare.

    So yes, the percentage is higher for timeshare, but the actual dollar amount is far smaller. It is a high-percentage but low dollar-amount commission. Compared to home sales, timeshare is a completely different industry with very small sales prices and expenses that are proportionately much higher.

    It is very difficult and expensive to properly market the sale of a timeshare.

    On a new sale from the timeshare Developer, it is well known that the commissions and marketing paid by the buyer as part of the purchase price, total approximately 50 per cent! That is one of the reasons that the resale on a typical timeshare is only a maximum of about 50 per cent of what was originally paid.

    Because the average resale price is so low, the mandatory minimum commission is necessary if the Broker is to stay in business while paying the proportionately higher expenses pertinent to professionally marketing a timeshare. The cost of a sale for a broker is the same on a low priced listing as it is on a higher priced listing.

    Again, the average commission of $2,000 is not a lot of money compared to the the work of initiating the sale, following it through with buyer and seller until it closes, the liability, and the responsibility for the expenses incurred for the whole process.

    Remember that if you sell without a broker only you alone are liable for problems.

    Our company is paid a fee only if we are successful in selling the timeshare, we bear all the expenses whether it sells or not, and we firmly believe that this is the only way it should be.

    We are a leading resale company, and happy to be able to do so honestly and without charging any sort of an advance fee.

    Our broker is one of a relatively few other brokers out there who have the same policy.

    We are well aware that we could make many times more money and we could easily devise some scheme convincing enough to cause sellers to pay upfront fees - it is far less work and far easier to find people willing to pay to get out of a timeshare, than it is to find buyers who are willing to pay to buy one!

    But we are firmly committed to our policy of a reasonable fee for service, only after the service is performed.

    In conclusion, when considering paying a timeshare commission, focus on the dollar amount for the job done, and not the commission percentage.

    And when comparing between Brokers, the lowest offered commission may not be the wisest, either.

    If the goal is to actually sell the property, the Broker with an average commission who expends what it takes and actually sells the timeshare, is certainly a wiser choice than choosing a Broker willing to list it with a low commission but who doesn't do much, and doesn't sell the property.

    Rest assured that no-upfront-fee Brokers like us, net only a modest return on the high-percentage but low dollar-amount fee.

    The worst thing a seller can do is to take the attitude where the seller says to the Broker, "no way am I going to pay 'that kind of percentage' to sell my timeshare!" - then they foolishly turn around and pay upfront fees repeatedly to companies who DON'T SELL THEIR TIMESHARE and usually aren't even licensed real estate Brokers.

    The result is that these sellers end up paying exorbitant fees to NOT SELL IT, rather than a fair commission, to SELL IT!

    PLEASE, don't fall prey to the many companies out there who are ready, willing, and able, to convincingly tell you how they are going to sell your timeshare for a grand price as soon as you pay them (or the company they refer you to) some sort of an upfront fee or appraisal fee - no matter how logical the reason for the upfront fee sounds.

    On a positive note, before the Internet came along, there was virtually no means of marketing a timeshare resale at any price, but the good news is that there now is a strong market, as long as the price is in accordance with the price for which other sellers are willing to sell identical units.

    It is our standard company policy, at no charge, to give sellers an honest
    estimate of market value.

    See other advice for sellers, such as How To Price A Timeshare Resale, and other advice.